The President is on his way to Hawaii for the holiday. The budget is moving forward. The Obamacare website is working. We haven’t bombed anyone lately. All is well, so far. The best news is that the economy is booming.
The GDP was expected to be between 3.6 and 3.8%, and the news is that it is 4.1%.
Generally, as the economy grows, so does opportunity for everyone. But, recent history is changing course. Wealth is concentrating into fewer hands. Income is not being distributed fairly. For those reasons, one must be guarded.
In fact, the present course is unsustainable as the cost to the environment is too great. Responsible nations and people must adjust to a new paradigm that requires living within the planet’s capacity to support the population. That will require a new value system that rewards both social and environmental responsibility.
While it is nice to feel happy at holiday time, the reality is that much more serious work needs to be done to ensure a positive future for the nation.
For Barack Obama, his management approach to the economy is bearing fruit.
“Wow! GDP grew a whopping 4.1 percent in the third quarter
Posted by Neil Irwin on December 20, 2013 at 9:36 am
The late summer months, it now appears, were a period of rip-roaring economic growth in the United States.
In the third and final revision of third-quarter GDP numbers, the Commerce Department now estimates that output rose at a 4.1 percent annual rate in the July-through-September quarter. It had previously estimated growth at 3.6 percent. That makes last summer the second-best quarter for growth since before the recession in 2007 (the fourth quarter of 2011 logged an even more remarkable 4.9 percent).
Still, for reasons we've discussed before, the strong third-quarter numbers should be taken partly with a grain of salt. A run-up in business inventories contributed 1.7 percentage points to overall growth, which is not likely to repeat (read more about why here). But the revision does point to stronger momentum in "final demand," or growth excluding swings in inventories. Final demand grew at a 2.4 percent rate, which is decent but a far cry from the 4.1 percent overall growth number.”